Exploring International Models: Financing High-End Imported Two-Wheelers

Exploring International Models: Financing High-End Imported Two-Wheelers

Loans by Team Drivio | 3 Feb 2024

While exploring international models financing  from banks or NBFCs, check out specialized financing programs, collaborations between dealers and lenders, and provisions for loans against securities. A strategic approach will help you overcome the challenges associated with financing high-end models.

As an ardent bike enthusiast, do you fancy owning high-end models from international makes like the Ducati, Harley-Davidson, or BMW Motorrad? If you prioritize style and performance while purchasing one of these expensive models, you might be wondering how to finance such costly bikes. While exploring international models financing in this article, we will discuss the challenges you might face, negotiation strategies, and best guidelines to buy high-end models.

From specialized motorcycle financing programs to exclusive collaborations, this guide will empower you in financing imported motorcycles in India.

Why are high-end models gaining popularity in India?

 High-end motorcycles are gaining traction in India, as imported bikes are known for their superior performance and sophisticated technology. These bikes continue to be a lifestyle and status symbol that appeals to a growing segment of Indian consumers. Beyond serving as a means of transportation, high-end models stand for an expression of individuality and a passion for the open road. No wonder, why bike enthusiasts are turning to reputed banks and NBFCs for exploring international models financing options.

Challenges in Financing Imported Motorcycles

Now, let’s take a look at the primary challenges in financing imported motorcycles.

Higher initial investment 

The key challenge in financing imported motorcycles is the substantial upfront cost you need to shell out. Imported bikes, unlike their domestic counterparts, often come with a hefty price tag. This includes taxes, duties, and shipping charges, apart from the value of these bikes. This explains why owners find it challenging to obtain loans for the purpose.

 Limited financing options

Standardized financing options for imported bikes are limited in India. Not all lenders are ready to finance these products, with traditional lenders hesitant to provide loans since certain niche models involve higher risk. Thus, you may run out of options while financing imported motorcycles.

  Stringent eligibility criteria

Banks and NBFCs are stringent with the eligibility criteria for loans involving products with high-end imports. They consider your income level, creditworthiness, and existing debt obligations to secure financing. It’s imperative to fulfill these criteria, since lenders meticulously evaluate the financial profiles of the owners before approving loans.

 Exploring International Models Financing: 3 Effective Approaches

The automotive financing market in India looks competitive. Considering the dearth of financing options for high-end models, specialized lenders and financial institutions have come up with viable financing options. These creditors offer customized financing solutions that they design to fulfill your unique requirements. Flexible loan tenures, lower rates of interest, and less stringent eligibility criteria are some of the perks of getting your imported bike financed through one of these lenders.

Let’s take a look at the different options for financing imported motorcycles.

Specialized motorcycle financing programs

Certain financial institutes have rolled out specialized motorcycle financing programs. This caters specifically to high-end models, featuring competitive interest rates, extended loan tenures, and streamlined approval processes. So, it’s wise to explore these options to secure adequate financing as per your preferences and budget.

Collaborations between dealerships and lenders

 Many dealerships of international motorcycle brands collaborate with financial institutions to streamline the financing process. Thanks to these partnerships, owners can secure exclusive financing deals with faster approval time and lower rates of interest. You may explore such collaborations when you consider purchasing an imported or high-end two-wheeler.

 Loan against securities

 Obtaining loans against securities is a viable process to finance your expensive international model. If you have investments, properties, or any other valuable, lenders might offer you a loan by using these assets as collateral. Although such options involve a higher risk level, you can enjoy more favourable terms compared to traditional unsecured loans.

 Tips for financing imported motorcycles

 Here are some valuable guidelines for you to follow as you explore financing options for high-end models.

  • Research extensively: Research carefully on the available models before committing to any financing option. Check the prices and explore different financing options available with different lenders. A comprehensive understanding of the market will help you opt for the most cost-effective option.
  • Improve your creditworthiness: Try to improve your credit score to secure higher loan amounts. Pay off your existing debts and make sure that your credit report demonstrates responsible financial handling.
  • Negotiate terms: When it comes to financing imported motorcycles, don’t hesitate to negotiate the terms with the lender. With a healthy credit score, you are better poised to negotiate terms for lower interest rates, flexible tenures, and lower down payment requirements.

Wrapping Up

Financing high-end models and imported motorcycles in India comes with its challenges. However, with the right approach and responsible handling of your finances, you can realize your biking dreams. In this guide, we have explored three effective ways to finance these expensive models. As the demand for these prestigious two-wheelers continues to rise, the financial market keeps evolving.

Now, as an informed buyer, you can consider exploring international models financing options and own your desired bike.